This will be the first and last time I am filing a Hawaii state income tax return. When importing from federal to state it selected disabled for my wife ( which she is ) that selection is greyed out and not changeable by me. It also warns me that we need to file a form N-172 with Hawaii in advance. This requires a physican's statement, oddly enough they dont say documentation from Social Security is an option.
My Hawaii state return is for a small amount. I wanted to change the settings to see how much difference it makes in my refund. ie is it worth the bother to submit form N-172.
So I want to see my Hawaii return under three options 1: married filing separately 2: married filing jointly, spouse is disabled and 3: married filing jointly ( no disabled status )
I can easily see the difference using either 1 or 2 with TurboTax Desktop but I cant unselect disabled for my wife to see results of filing jointly no disability. I think it would be somewhere beteen options 1 and 2
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First, it's up to you if you want to file Form N-172, however it seems like it would be a good idea. It only needs to be filed once unless your wife falls into the following category.
This from is not part of TurboTax and must be submitted manually due to the physician statement section and signature.
In TurboTax Desktop you can override however you could lose the 100% accuracy guarantee and you may have to mail your tax return.
Lastly, you could choose to clear and start over so that you can choose not to import prior year data. It could be more work on your part however you would not have the box automatically checked for your wife's disability. Likewise, you can start a new return in TurboTax Desktop (you can have 5 returns), even if you don't use it to see how it would turn out. Use fake SSNs to test. This should give you the answers you need to make your final decision.
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